The groundbreaking ceremony for the project was held on April 15, 2025. The project is scheduled to be completed and put into operation by April 2026. Upon completion, it will create over 3,500 job opportunities for the local community, covering various fields including management, human resources, production, and technical operations. The new factory will feature an automated and intelligent production system, equipped with state-of-the-art large-capacity digital EO (ethylene oxide) sterilization facilities to ensure full compliance with international standards.

Allmed Medical’s director, Cui Hui, stated that the new factory is not only a vital hub for the company to expand its market in Southeast Asia, but also a long-term commitment to establishing a sustainable, high-quality medical device industry ecosystem in Indonesia.

Allmed Medical’s President, Cui Jinhai, noted that the decision to invest in the Batang Industrial Special Economic Zone was due to its status as a national strategic project and its role as one of the core carriers of the China-Indonesia “Two Countries, Two Parks” cooperation. The zone offers comprehensive infrastructure, convenient logistics channels, and an efficient integrated approval system, providing a highly attractive business environment for global investors.

M. Faiz Kurniawan, the Regent of Batang, made a clear commitment: “The government will fully support the project approval process and prioritize the supply of high-quality local labor.”

The operator of KEK Industropolis Batang stated that the implementation of the Allmed Medical project is a strong validation of the region’s potential and once again highlights the important role of Batang Industrial Special Economic Zone as an engine of national economic growth in Indonesia.

With the official launch of the project construction, Indonesia’s medical device manufacturing industry is expected to enter a new phase of high-quality development, contributing to regional economic growth and industrial upgrading.

Batang Wanshida Industrial Park is a demonstration zone for the China-Indonesia economic and trade innovation and development, jointly built under the “Two Countries, Two Parks” initiative. It is located within the KEK Industropolis Batang in Central Java, Indonesia. The park offers flexible factory space and land leasing or purchasing services, and supports enterprises to quickly establish a presence in Indonesia through a “one-stop” service approach.

1. Tariff Breakthrough
   • Avoiding Tariff Hikes: Bypass the 125% additional tariff list imposed by the U.S. on China. Leverage the ASEAN Free Trade Area (AFTA) and the Regional Comprehensive Economic Partnership (RCEP) to enjoy zero-tariff export benefits for 90% of goods within the region.
2. Cost Lock-in
   • Tax Policy: Companies in the special zone enjoy a 15-year corporate income tax exemption (full exemption for the first 5 years, and a 50% reduction for the following 10 years), with complete exemption on import tariffs for equipment.
   • Labor Costs: 38% of the workforce is under 25 years old, with an average monthly wage in manufacturing that is only one-third of that in China.
   • Energy Security: Electricity prices are approximately RMB 0.5 per unit, with peak rates at RMB 0.75 per unit.
   • Employee Social Security: Health insurance is paid at 1% of the salary by both the employer and employee; pension insurance is paid at 8.4% of the salary by the employer; and work injury insurance is paid at 0.24% of the salary by the employer. (Total less than 10%)
3. Ready-to-Use Advantage
   • 1 million m² of High-Standard Factories in Batang Economic Zone, Central Java: Available for immediate lease and use.
     • Comprehensive Facilities
     • Proximity to Highways
     • Bonded Zone
     • Green and Energy-Efficient Factories
     • One-Stop Services